The Weekly Membership Newsletter of the Tennessee Association of REALTORS
Editor: Pug Scoville


CONTENTS
1. VOTE!
2. Who ARE Today’s Buyers?
3. Well done, Keri and Pam!
4. HOT LINE: FSBO on Do Not Call List?
5. HOT LINE: Inspection Report Given To Another Buyer?
6. Workshops and Courses
7. Update and Outlook on Mortgage Rates
8. USEFUL LINKS
9. No DIGEST Next Week

To ask a TAR Legal and Ethics Hot Line question, CLICK HERE.

For other questions about this newsletter, please use the “CONTACT” form HERE.

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1. VOTE!

As we write this edition of the TAR DIGEST, tomorrow (Tuesday, Nov. 2) is Election Day! We encourage all of our members to get out, exercise the right that so many around the world don’t have, and VOTE!


2. Who ARE Today’s Buyers?

In a new article by Ted Cushman (“Will the Real Home Buyers Please Stand Up?”), Builder Magazine reports on the demographics, attitudes, and preferences of those homebuyers who are still in the market on the hunt for housing …all very good things to know in this challenging economy:

*** BEGIN QUOTE ***
Let’s face it: This year’s home-sales market is the coldest since the Great Depression. Buyers went back into hibernation en masse in May, as federal tax credits expired–and June’s anemic rebound was nothing to write home about.

But that doesn’t mean the market’s dead. Hundreds of thousands of customers are still shopping….

For the second year, American LIVES conducted a survey this spring for Builder of just those active buyers. In nine markets across the country – California, Nevada, Arizona, Texas, Florida, North Carolina, Virginia/Washington, D.C., Michigan, and Indiana – real customers, including model-home visitors as well as actual recent buyers, agreed to fill out a survey about their personal situations, their preferences, and their ultimate choices.
*** END QUOTE ***

To read what this survey found, CLICK HERE.

[SOURCE: Builder Magazine]


3. Well done, Keri and Pam!

In our August 24 edition of the TAR DIGEST, we noted that two Tennessee REALTORS – Keri Kidd Cannon and Pam Kidd, with Fridrich & Clark Realty LLC in Nashville — were named (as a pair) one of the TEN (10) national finalists for the National Association of REALTORS’ 2010 Good Neighbor Awards!

Five winners from across the country have now been announced and (drumroll please) Keri and Pam are among them!

Winners receive a $10,000 grant for their charity and a $2,000 Lowe’s gift card, and are profiled in the November-December issue of REALTOR  Magazine. The recipients will be presented with their crystal trophies on Saturday, November 6, at the 2010 REALTORS Conference & Expo in New Orleans. 20,000 Realtors and guests are expected to attend the conference.

To read about their project in Zimbabwe, CLICK HERE.

[SOURCE: NAR]


4. HOT LINE: FSBO on Do Not Call List?

QUESTION: I know that you have addressed this issue numerous times in the past, but I need further clarification regarding the federal and state Do Not Call laws. Can an agent call an owner from a FSBO sign if the agent is actually working with a buyer who may be interested in that particular property, and the intention is to find out price or other details about the property? This would not be an attempt to circumvent the laws or to indirectly solicit a listing.

ANSWER: If the seller is on the “Do Not Call” list and is operating as a FSBO, the ONLY way that an agent should contact him is if the agent is contacting him because the agent has an actual buyer-client interested in that particular property. Otherwise, the agent is likely violating the law.

REMEMBER, there are two different “Do Not Call” laws. There are both state Do Not Call laws and a federal Do Not Call law. You must be familiar with and comply with BOTH!

For information on Tennessee’s Do Not Call Program, go to:
http://www.state.tn.us/tra/donotcall/nocall.html

For information on the federal Do Not Call Program, go to:
http://www.fcc.gov/cgb/donotcall

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


5. HOT LINE: Inspection Report Given To Another Buyer?

QUESTION: A Listing Agent without permission of the prospective buyer released the inspection report to another prospective buyer. Is that ethical to do that? I thought the inspection report belonged to the prospective buyer. The report was released to the listing agent as a negotiation for repairs.

ANSWER: The inspection report belongs to the buyer who purchased it. It cannot be disseminated to third parties without the permission of the buyer (and possibly the home inspector).

FURTHERMORE, TAR’s Purchase and Sale Agreement states that:

“In further consideration of Buyer’s right to legally, properly and in good faith invoke a right to terminate this Agreement pursuant to any specific Buyer contingency as stated herein, Buyer agrees, upon Seller’s request, to provide Seller or Seller’s representative with copies of any supporting documentation which supports Buyer’s right to exercise said contingency, the sufficiency and adequacy of said additional consideration being acknowledged. Any such supporting documents shall be provided for Seller’s benefit only and Seller shall not disseminate the same to third parties. However, Buyer shall not be required to provide any documents to Seller in violation of any confidentiality agreement or copyright protection laws, if applicable.” (Lines 345-351)

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


6. Workshops and Courses

Nov. 2-3: GRI 3, Financing the Successful Transaction (16 hrs. CE) – Chattanooga. For more information or to register, CLICK HERE.

Nov. 4 – Dec. 8: GRI 6, Sticky Situations (16 hrs. CE) – an E-Class distance-learning course. For more information or to register, CLICK HERE.

NEW! Nov. 10: Digital Flood Map Course (2 hrs. CE) – TAR Office, Nashville. This 2-hour course – presented by TN’s Office of Information Services – is focused on educating REALTORS on the status of FEMA’s Digital Flood Insurance Rate Map in conjunction with the Tennessee Base Map data. For more information or to register, CLICK HERE.

Nov. 17-18: GRI 2, Smart Marketing (16 hrs. CE) – TAR Office, Nashville. For more information or to register, CLICK HERE.

The complete 2011 schedule of GRI Courses (both Classroom and E-Class) will be posted SOON HERE.

Watch each week’s TAR DIGEST for schedule changes and additions!


7. Update and Outlook on Mortgage Rates

The 30-year fixed mortgage rate rose slightly to 4.23 percent this past week compared to 4.21 percent a week earlier, Freddie Mae reports. Interest on 15-year fixed loans also rose, moving to 3.66 percent from 3.64 percent, while the five-year adjustable-rate mortgage fell to 3.41 percent from 3.45 percent and the one-year ARM remained unchanged at 3.30 percent. Freddie Mac chief economist Frank Nothaft attributed the flat rates to mixed economic data released this past week.

Barring a major announcement from the Federal Reserve next month, the Mortgage Bankers Association expects rates on 30-year fixed mortgages to average 4.4 percent in this year’s fourth quarter, rising to 4.7 percent in the first three months of 2011 and to 5.1 percent by the end of next year. MBA chief economist Jay Brinkmann expects a rebound in purchase originations next year, but the volume will still only roughly match last year’s level. Refinance activity, however, is expected to decline in the new year as mortgage rates begin an upward climb from current record lows.

[SOURCES: Freddie Mac; Wall Street Journal; Information, Inc.]


8. USEFUL LINKS

Click on any of the following to access:

Back Issues of the TAR DIGEST
Tennessee Assn. of REALTORS
TAR Education
Tennessee Real Estate Commission


9. No DIGEST Next Week

Due to the National Association of REALTORS (NAR) Convention in New Orleans and staff travel, there will be no TAR DIGEST published next week.

The TAR DIGEST will return with the 11-16-10 Edition!